109:8-1-03
Quarterly certifications and escrow deposits.

(A)
On or after January 1, 2005, to promote
compliance with section
1346.02 of the Revised Code, the
Attorney General may require nonparticipating manufacturers to certify
compliance with sections
1346.02 and
1346.05 of the Revised Code on a
quarterly basis. The Attorney General may also require nonparticipating
manufacturers to make the escrow payments required by section
1346.02 of the Revised Code, in
quarterly installments during the year in which the sales covered by such
payments are made. This rule applies to nonparticipating manufacturers that
meet any of the following criteria:

(1)
Nonparticipating manufacturers that have not previously established and funded
a qualified escrow fund in Ohio;

(2)
Nonparticipating manufacturers that have
not made any escrow deposits for more than one (1) year;

(3)
Nonparticipating manufacturers that have
failed to make a timely and/or complete escrow deposit for any prior calendar
year;

(4)
Nonparticipating
manufacturers that have failed to pay any judgment obtained in any
jurisdiction, including any civil penalty stemming from any jurisdiction's
escrow deposit laws;

(5)
Nonparticipating manufacturers that have more than 1,600,000 of their
cigarettes sold during a quarter; and

(6)
In addition to the reasons specified
above, the Attorney General may require quarterly escrow deposits from a
nonparticipating manufacturer if the Attorney General has reasonable cause to
believe the nonparticipating manufacturer may not make its full required escrow
deposit by April 15 of the year following the year in which the cigarettes
sales were made.

(B)
Nonparticipating manufacturers who are required to make quarterly escrow
deposits must do so no later than thirty (30) days after the end of the quarter
in which the sales are made. For example, the deadline for making a quarterly
escrow deposit for cigarette sales occurring January 1 through March 31 is
April 30 of the same year.

(C)
Nonparticipating manufacturers who are required to make quarterly escrow
deposits, shall provide the Attorney General with official notification of the
quarterly escrow deposit no later than ten (10) days after the deadline for
which an escrow deposit is required. Nonparticipating manufacturers shall also
provide their quarterly certifications within the same deadline. For example,
the deadline for certifying and officially notifying the Attorney General of a
quarterly escrow deposit for sales of cigarettes that occurred January 1
through March 31 is May 10 of the same year. Nothing in this rule eliminates
the requirement under section
1346.05 of the Revised Code for
a nonparticipating manufacturer to file its annual certification due on April
30 of each year.

(D)
For purposes
of this section, the calendar year shall be divided into the following
quarters: January 1 through March 31; April 1 through June 30; July 1 through
September 30; and October 1 through December 31.

(E)
If the required quarterly escrow deposit
is not timely made in full, or the required quarterly certification is not
provided to the Attorney General, or the Attorney General does not receive
timely official notice of the quarterly escrow deposit, the delinquent
nonparticipating manufacturer and its brand families shall be removed from the
directory in accordance with Section
1346.05 of the Revised Code.